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tv   After the Bell  FOX Business  February 5, 2014 4:00pm-5:01pm EST

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the stock is down 75% in the last year he. [closing bell ringing] david: bells are ringing on wall street. we're eagerly awaiting news about the twitter price but also pandora is expecting earnings. by the way, twitter is expected to post a loss. you can't call earnings precisely but we managed unfortunately to pull ourselves in the red. we're kind of a mixed market here, just barely so. look at dow jones industrial average. just a tick off of the green arrows. so basically flat, waiting for those earnings reports that will be coming in from twitter, from pandora, from a host of different companies. we have a busy hour for you. "after the bell" starts right now. liz: they're lining up like planes at o'hare. disney, pandora, twitter. all waiting on numbers. let's get to today's market action. joe keating, joe is saying now is a good time to get back in
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the market if you were ever out. scott shellady joining from us the cme. let's start with scott. the price action was tentative and a little weak. what do you hink? >> i think actually, funny enough, i think tomorrow will be the big story. after we see earnings today. we have the ecb. they will need to be ones that really help us out of this problem. if draghi doesn't do anything and market action was they think he is going to, but if he doesn't, i think they punish the equities. i think that makes non-farm on friday a non-event. david: joe keating, i was mentioning some big names that pulled back more than 10%. boeing company, 16% off recent highs, intel, 11%, cisco, 13% off, amazon 14%. they go on. ibm, 19% off their recent high. looks like bargains in the market. do you see it that way? >> i do, david. the problem was that the market was clearly overvalued at year-end but the backdrop is still very constructive.
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the economy continues to grow. the fed remains very accommodative. corporate america continues to return a lot of capital to investors in share repurchase and dividends. we think it is time to start bringing the money into the market at a very measured pace. liz: where? where do you believe you should assault money at this point if you have a little chunk you're waiting to keep in the action? >> well, liz, i brought three very high quality, defensive oriented companies today for the viewers. first, take a look at a company like pepsi. pepsi is the ultimate dividend payer. they have grown the dividend for 41 consecutive years. the dividend yield is under 3%. they grew the dividend last four years 26%. look to grow 18% over the next four years, a really solid place to put your money. we can go north of the bored. bell canada enterprises. the yield is a little over 5%. they grew the dividend payout an astounding 44% last four years
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and look to grow 22% over the next four years. lastly let's go to the most exciting place in the u.s. economy today, the energy sector and take a company like williams partners, a pipeline company wrapped in a limited partnership. it is offering investors yield over 7% today. it is a great natural gas play. we think there are really good, high quality, defensive names people can invest in. david: scott, we had richard fisher few days ago say full speed ahead with the tapering. mr. plosser from the philly fed saying he sees 3% growth in 2014. he actually makes, making fisher look like a dove in comparison. so, it seems clear that we are going to be continuing with the tapering. how will the market be affected by that? >> well, i'm going to go another end around on you here. i think they will continue the taper but will not continue the taper because the economy is really full team stead. i think as we've seen of late,
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some economic figures give you pause for concern. that is why the market has done what it has done. i think they continue the taper because it is failed economic policy that hasn't worked. david: you just said something interesting. you think the market pulled back because of the economic news, not because it is sort of readjusting itself to the tapering? >> yes. because two days ago when we saw the big selloff you saw three car manufacturers come in with bad numbers. we try to blame things on some of the bad weather but ultimately we have weakness in the economy. we're coming off 74,000 jobs print last month. this bet be good and ecb better come to our rescue tomorrow. liz: can't you in a way, joe, blame a little bit of china's purchasing managers index, which is their indicator that gives us a sense that manufacturing is slowing down along with our bad ism number, that maybe scared people just a bit but that it might be short term? >> absolutely, liz. you never know what is going to be the cause of a small, we ly but aaven't hit correction small pullback in the market but
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the market was ready for it. when you, when we had valuations probably about 10:00% overvalued at year-end, we did three years worth of returns in the stock market during 2013. we need to, for some time for earnings to grow into those prices and it looks like fourth quarter earnings are up, operating earnings are going to be up about 26%. so, little bit of a price decline, a nice pop in earnings and i think the market is a little bit more attractively priced now than it was at year-end. david: joe, i don't want to dampen your enthusiasm, you have to admit there is more volatility, a lot more volatility in 2014 than 2013. do you readjust your portfolio somehow to account for that? >> definitely more volatility, david. and part of it is because during '13 the fed was buying securities all year long. now they're in the process of not buying as much. so we always played in the dividend of paying part, more defensive part of the equity market and i think that's just a really good place to be but the tapering doesn't scare us
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because remember one of the things the fed has done both at the december meeting and at at january meeting was strengthen forward rate guidance and we think that is far more powerful tool for keeping bond yields low than actually the tapering, excuse me the bond buying program. liz: we want to just show what twitter is doing right now as the numbers have just come out. the close here is $65.97. these numbers are all over the place. you saw the bid and ask start with 68 bucks. now they are moving slightly lower but still above the closing value of the shares. again when we're looking at a name like twitter this is one of those cult stocks along with yelp and linked in, but less so. this is less like disney. disney is very much a bellwether. which one matters to you most, joe? >> definitely disney. they're a dividend payer. to us they're a expensive dividend payer. the dividend yield is down to 1% t doesn't meet our criteria for being able to invest in it.
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over the years we have invested in disney. it's a great company. it's a great stock. it just doesn't meet our income requirement that is our clients have for income off of a portfolio. david: we're beginning to get some of the loss figures and some of them, again, the stock is reacting both negatively and postively depending how these things leak in. i have to go back to you scott shellady, this is a stock since the ipo up 150%, in a market booming like 2013 was you see this stock continue to go up. but in a mmrket finger is close to the sell button, closer to the sell button than the buy button, don't you see this stock going down a bit? >> i do. i think it will be extra volatile. unfortunately i have a memory of 1919 where a lot of these -- 1999. a internet and technology stocks got ahead of them e. david: the world has changes. having said that the world has changed scott. we have ways of getting revenue
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we didn't have before in advertising and that's helping stocks like twitter, no? >> it does and also the fact that i have -- [inaudible] facebook is 900 million. i sse where you get ahead of yourself and have a little bit of a growth story. ultimately there will be time the next two quarters they have to start to deliver and bar for delivery is high. they have to hit it. if they don't i think it will be a rough ride. liz: remember back in 1999, people were saying wait a minute, wait a minute, suspend your regular analytic rules and figure out different ways, don't worry ktel will eventually make money or online version ever bridgestone. who knows. it is very interesting to see how people are looking at twitter in the same way that they did at internet stocks back in the '90s. but you see now the stock is well below its closing value at the moment. the bid right now, $63.78. these numbers are still moving around. we're being cautious. the ask is 65. adam shapiro, how did they do?
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>> all right. so we're looking at twitter and there is some really impressive numbers here. first on revenue, $243 million. that is year-over-year, up 116%. on the earnings, we were expecting a loss but non-gaap earnings per share, liz was two cents. i want to repeat. we were expecting a loss on gaap earnings per share of 2 cents. they also had 241 million active users as of december 31st, 2013. that is up 30% year-over-year. liz back to you. liz: give me that number on monthly active use officers. david: 241. that is a beat. we were expecting about 232. actually that is what it was in the third quarter. that third quarter by the way was up 6% according to my calculations, about the similar kind of ride there. so an increase in the number of% active users. again, as you see these numbers jump around, you see the investors, after-hour investors digesting information as we die best the information. it looks, now, like it is down
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significantly from where it closed. however some very good numbers coming in. and again, scott shellady, it gets to the point we were talking about it depend on what the general market is doing. if you're in a general market which has a sell tone to it these numbers look bad. if you have a buy tone to it maybe the numbers would look better? >> unfortunately for twitter they would have to overdeliver, this is good example of by the fact, fact came out a little better than expected but people will exit those positions. we didn't get a really big beat. that's where we be in a market trending lower. you have to get out even if it's a good number. liz: again, we know that there was no third quarter for twitter. just came public in the fourth quarter but the numbers they released in advance of going public were of course 231 million active users. now 241 million. that is something the markets would like. but at the moment we see a teeny bit of a shore squeeze with bid
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and ask, i'm sorry, short squeeze. 9.4% of the float is shorted for twitter. there are some real non-believers and they have been vocal. if you look how the analysts stacked up on this stock, six buys, 13 holds, seven sells, three strong sells. at the moment there must be something in the numbers, adam shapiro. what else do you see here that might have spooked the horses? >> i'm sorry, liz, got to get back to you. we're crunching through pandora numbers. liz: okay david? david: bottom line, joe keating, the market doesn't like what they're seeing. we're looking at good numbers, overall numbers, but if you think growth expected of the company that has risen 150% in just three months this is not the kind of growth they're looking for. >> no, david. this is a classic example. my clients basically give us money to manage where they want to stay rich. twitter might get you rich and may also take your richness away on day like today.
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our investors want to be. so there's a place for investors who to invest in a company like twitter. it is not a place where our investors want to be. david: we have analysts, by the way, coming up on twitter in the next segment to talk about precisely why this stock is now trading down about 11% from where it ended the day, even though the raw dollar numbers look pretty good. but the number of active users, how the base of advertise something expand something giving some investors pause. liz: joe, we want that thank you for joining us. scott, you will be back when the s&p futures close. we had a flat market today. might give indication how the markets will open tomorrow. david: we reported moments ago, twitter's stock is down 11% after-hours in the short period where these numbers were released. we have an all-star panel to break down the results, the future of twitter and really the future of online advertising. >> and microblogging.
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plus china's stock market is off to a rocky start in 2014 following some weaker-than-expected economic data. is the downturn the perfect buying opportunity or is it a collapse that is just about to come? a bull versus bear debate on china still ahead. david: love those. ♪ [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace
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>> we've got pandora numbers for you. it's a beat on earnings per share of 11 cents. the street was expecting he have cents. on revenue of 20$.8 million. the street was expecting expecting01.0million. we want to point out that -- 201 million. total calendar fourth quarter, listener hours, up 16% to 4.54 billion, for the fourth quarter of 2013. compared to 3.91 billion for calendar fourth quarter 2012. pandora still very dominant in that space. back to you. david: dominant but there is a lot of competition but apple has it right now. liz: apple, of course, it is that what have you done for us lately. it is not enough for wall street sometimes. david: the big story of the hour is twitter, down more than 11% in after-hours trading.
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let's head back to nicole petallides on the floor of the nyse. the numbers look good but boy the after trade is not good. >> that is absolutely right. what is interesting when the numbers first came out and the stock soared. it moved above 70 bucks. people were excited on wall street only to see it tumbling down over 10%. so what is the problem? earnings per share came in better than expected at two cents versus the estimate for a loss of two cents. then you had revenue which came in and beat the street, 243 million, versus 218.15 million. here is the problem. there are two things i'm seeing here so far. the first what they are giving for the outlook for the full year 2014 revenue. 1.15 to 1.20, right, so that million, versus the midpoint of 1.17. so that could be part of it. just barely above the midpoint. maybe people were hoping for greater top-line growth. the other thing is the amount of monthly users.
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so i'm seeing the monthly users were 241 million monthly users for twitter. the question is whether or not that is -- david: nicole, stay with us because we might want to bring you into this conversation talking about the trading floor here. we're here to break down all the numbers. we have telsey advisory group tom forte and mashable technology journalist pete basheel is with us. revenue growing nicely but i think users is disappointing investors. >> user base is not growing as fast as some people like to see. they think twitter might be the next facebook to get to billion level mark. based on growth at 30% year-over-year, that doesn't seem likely and that may be why a bunch of people are back out. david: tom, let's put the after-hours numbers out. it was down to about 59.50, the after-hours trade on twitter. you can see it there.
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is it going to stay at these numbers as people kind of go through and dissect the numbers? do you think the stock price will stay here? >> i think to your point there are times where a company's after-hours activity doesn't match what it does the following day when the market is open. but i agree if you look at their numbers the revenue and monetizaton was impressive. i think the guidance is okay but the audience growth, that member number for december, think that's disappointing. i think that is why the stock is down 10% especially given the run-up after the ipo. david: pete, we have a full screen we can show of super bowl hits, twitter versus facebook. that is always something that, a way to judge whether twitter is successful or not. they have a different kind of audience, different way of advertising. twitter had 24.9 million game-related tweets in the four-hour period. facebook had 117 interactions what is going on -- 185.
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looks like twitter really beat facebook. is that an important indicator? >> yeah it is. twitter is conscious and smart about its usefulness as a second screen media. everyone goes to twitter when there is a big television event and they have wisely targeted their advertising tools to that kind of use. the thing is, using twitter as a broadcast medium, which is inherently what it is is a fundamentally different thing from facebook. everybody has friend so you like facebook but not everybody wants to broadcast what they're doing. that inherently lend twitter -- david: pete, forgive me for interrupting you but we've got the numbers on disney. the man who knows disney inside and out joins us now. dennis what are the numbers. >> indeed, david the mouse has roared. earnings per share, $1.04 per share. wall street looking for only 92 cents. that is versus year ago of 79 cents. revenue comes in a slight beat
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at 12.31 billion, versus expectations of 12.25. that is almost, better than 10% revenue growth on huge base. couple segments for you, media networks coming in shy. they wanted 5.39 billion. came in at 5.29 billion still up from year ago. all five divisions seemed to have sales growth. 3.6 billion, versus 3.4 a year ago. studio with a big beat and that is because of "frozen", 800 million-dollar blockbuster in theaters. wall street studios, revenue, 1.68 billion. interactive long been a laggard at disney with the knew infinity system finally getting traction, interactive coming in with profits of 55 million, versus nine million dollars a year ago. they had cutbacks in that division. overall looking like a pretty strong report so far, dave. david: only thing drooping a little bit is abc network because espn is strong. all the games, all the parks are
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doing well. and of course that movie, you saw the movie. liz: "frozen." i was half awake. isn't interesting that old media name is jumping in aft market session and two new media companies, twitter and come. twitter falling rather precipitously. 20% swing in just about 11 minutes after the close and of course the numbers. david: our twitter panel will stay which 6 with us. we hope you stay with us as a lot of news to report here on "after the bell." dentures are very different to real teeth.
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david: twitter is still down about 10% after-hours. our twitter advisory group continues to join us hire. pete paschel in studio.
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much average monthly users 241 million. that is up but it is up only 3.8% from the previous quarter. this is the lowest rate of increase since twitter began disclosing user figures and way off where they planned to be a few months ago, right? >> yeah, yeah. the word is solo was predicting about 400 million users at about this time. but i mean not all bad for twitter. as we discussed, the revenues are way up and actually twitter puts an enormous amount of its revenue into research and development. so it is clearly trying to get ahead of trends that it is seeing and trying to put out more tools. revenues are increasing much faster than users. it may not, we may not see the ceiling for that just yet. david: tom, they just purchased mopub, this mobile ad exchange, which is supposed to direct advertising particularly to the twitter audience. no sign yet that that's having an effect or is there? >> well i think at this point i% may not be a needle mover as far
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as the total revenue they're generating from that acquisition but i do think that, you know, if they can paint a picture at their conference call that they're monetizing at a materially faster rate than we anticipate, then wall street might give them a little more of a pass for the short fall in audience. david: two quick questions for both of you guys. tom forte, i begin with you. does the price stay at below 60 at the end of the tomorrow? >> i think that, given the incredible run-up leading up to their first quarter, if it comes back 10%, that isn't a horrible thing. david: right. >> so possible, yes. david: pete, same question to you, below 60 by the end of trading tomorrow? >> it really all depend on what they say in the earnings call. this is the first time for twitter. it will be a very tone-setting call. they haven't had an earnings call before. will the dick costello be there? what are they going to say? will they have informative
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answers that sometimes apple tim cook reveals or short and curt the way microsoft does it. if it is former it could be okay. david: pete pashel, from mashable technology and tom forte, telsey advisory group. thanks for coming in. liz: just a quick message. green mountain coffee roasters is halted. we have other commodities to talk about, despite freezing cold temperatures across the country, nat-gas prices falling more than 6% today, pulling back from a four-year high as traders look to tomorrow's weekly inventory report. david: sandra smith joins us now. sandra i guess there is major profit-taking now after the run-up. >> not major. david: 6% is major loss. >> natural gas prices were up 10% yesterday. they didn't undo yesterday's gains. say look at selloff with the caution. we look at latest cftc report, commodities futures trading commission.
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this shows where speculators lie on natural gas. amount of bullish bets on natural gas right now, at a seven-year high. there is no big bet this rally is over. i do want to point out i was on the show january 27th with another guest who had on saying don't buy natural gas prices. david: to which sandy said. >> not my opinion. all i do is work the phones and talk to people i know in the commodities markets, every day very smart people said no way, inventories are too tight for natural gas prices to go down. he they talk about we're in jeopardy next year. if we have another cold winter we're looking at 17% below for this time of year, inventories at a 17% below their five-year average and they're down 40% this december. liz: spot prices, i blinked a couple of times. at one point spot prices were skyrocketing above $100 in million -- >> in the northeast. exactly. that led all the hedge funds and speculators, hey, price trading on the global exchange it is
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going up based on what they're seeing. >> why is it down today. >> to david's point there is a little bit of profit-taking here. after you get such a run-up yesterday and a huge inventory report out tomorrow, a lot of folks are speculating hey, maybe the analysts are overdoing it on their bullish calls here. so there is a little bit of hesitancy as we head into the report tomorrow but i do want to point out, we hit 5.73 as a high, guys. we're looking at prices, you know, citigroup has been throwing out some really bullish calls on natural gas. barclays is saying we'll become net exporters of natural gas in the next couple of years but volumes, very, very heavy when the market goes up in natural gas. that too is a very bullish sign. david: bottom line, is there enough natural gas being produced, being discovered, et cetera in this country and in other countries as well, so eventually we will won't have these inventory problems? >> we've come a long way, put it that way. liz: breaking news with adam shapiro. we've got it. >> coca-cola is making a major investment into green mountain
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coffee roasters. we're still waiting for green mountain coffee roasters numbers. but coca-cola is buying roughly $1.25 billion worth of newly issued shares in green mountain. eventually they will partner in delivery of cold beverages. so this is a big announcement on the eve of getting those numbers from green mountain coffee. $1.25 billion investment from coca-cola. 16 million plus newly-issued shares for 1.25 billion bucks, guys. liz: numbers are out. we're looking at a halted stock still again. sandra can weigh in on this we've seen nine-month highs on the price of coffee, sandra. these numbers as we pick through them, this coca-cola news is major. we had spoken to mukhtar kent in davos. he knows soda consumption is going down globally and in the u.s. even diet soda. they have to look elsewhere. they're in dasani water and
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juices but now coffee. >> the other part of this story, corn prices have been sky-high. that is problem for anybody producing soda that produce uses corn syrup. that is in the picture. as far as coffee prices this will be interesting one because coffee prices have been so high. they are crunching into the margins of major coffee producers, interesting play. liz: we need to show sodastream, bid and ask. that is the israeli company that makes the make your own soda prices things like that. on the screen, news coca-cola is buying into green mountain coffee is moving precipitously lower. look at bid and ask, david. david: oh, boy. twitter is down 13%. there is lot of action on after-hours. we're not finished with some of these earnings reports by the way. we have a lot more to report on. you want to catch up what is happening with twitter. disney is one of the few breaking through barriers here, even going higher after-hours. all that is coming up on more
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"after the bell." welcome back. how is everything?
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anbe a name and not a number?tor scotade. ron: i'm never alone with scottrade. i can alys call or stop by my local office. they're nearby and ready to help. so when i have questions, i catalk to someone who knows exactly how i trade. because i don't trade like everybody. i trade like me. that's why i'm with scottrade. announcer: ranked highest in investor satisfaction with self-directed services by j.d. power and associates. >> shares of green mountain coffee still remain halted in after-hours trading. we have the latest numbers. a beat on earnings per share for the coffee roaster, 96 cents. the street was expecting 90 cents but revenue right in line, 1.4 billion. the street was expecting 1.41 billion. this is halted because of a $1.25 billion investment announced by coca-cola and partnership with green mountain
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coffee. let you know on the coffee side of the business in the first quarter, fiscal year 2014, they sold a record 5.1 million keurig brewers during that period. liz and david. liz: why do you ask is sodastream dropping dramatically. in this green mountain news, the keurig soda system is currently under development. we're looking at soda, moving rather dramatically lower here, the closing price was 35.79. right now the bid is $31.90. let's move on to china. we have the shanghai composite down nearly 4% this year alone following weaker-than-expected economic data. pimco's bill gross, who watches these things is now calling china, the mystery meat of emerging markets because there is very little clarity on sort of the veracity of any economic data put out there because the government, some believe,
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tweaked those numbers. so what is ahead for the world's second biggest economy? we duke it out with the bull versus bear debate. for the bulls, alfred nader, western urn corporate strategy and bears, jim ricard he is with west shore real estate income portfolio fund manager. you're not worried about the china numbers that came out and worrying some? >> i think china will slow down significantly. china is about 10% of global gdp. if you slow down china you will slow down the whole world. that is exactly what will happen. i'm not saying we crash tomorrow. 7%, gdp. 45%, 7% breath. 45% of their -- growth. 45% of gdp investment. most of it is wasted. i've been to china on the ground and ghost cities viewers heard about. they're still building them. if you adjust gdp growth by the writeoff it will be lower today and will get lower in the
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future. liz: alfred, he made the case for the bear side. what is your case for the bullish side? especially those of us who i want to say 2005, when gdp in china is now 11%. and now we may mary see 3%. >> no, absolutely he has a great point i agree with jim. we need to stop looking at% china's as the world's factory. china has 1.3 billion people for the first time in their lives have money left over at the end of the month to spend and they will be spending that money. china's growth will come more from consumption, domestic consumption. you saw that in the most recent import figures where they're up over 8%, year on year. liz: jim, they will not stop eating. you had a rising middle class went from one to two meals a day to two to three meals a day. are you saying that china will implode or what is your worst-case scenario here? >> the worst-case scenario is financial panic.
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one much these are ponzi schemes. that is not my words. the chairman of bank in china said there is ponzi scheme. they are like cdos squared. they take the money and sell them at banks. so investors think they buy a safe bank deposit product. offer 7 to 8% yields versus zero on their normal bank deposits and put the money into real estate in speculative ventures. collapse. roll it over, issue new ones, pay off the old ones. it's a ponzi scheme. one of those could lead to financial panic to. al's point the consumption that is imf and world bank say they should be doing. problem is they can't. they have a demographic bulge of those 40s, and 50s. spend when you're younger because you don't hhve responsiblities. spend older when you want to enjoy retirement. liz: are you counting out the new rich and billionaires? you're allowed to have more than one child in certain cases. >> that will be a big help 20 years from now when children enter the workforce but not for 20 years.
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demographics -- liz: alfred, you have the bullish side here. what would you be buying? plays here in the u.s. will benefit from the consumption from the chinese or chinese plays you like right now? >> actually both. you look at chinese renminbi. the chinese renminbi will be likely six to the dollar by june. but any type of chinese growth really benefits us here in the united states. think about it. 1.3 billion new consumers, american companies can sell to. it's a great growth prospect for american companies. and if you're looking at companies that are coming out of china right nows these are game changers. companies like alibaba. alibaba is larger than amazon.com and ebay put together. that is only one company making news over here. when mmre of those companies start coming out it will be a game-changer not only in their industries by others. >> liz, the rich, you're mentioning they're getting money out. there is capital flight coming
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out. china. liz: what do you like if not china? >> i like south korea, singapore there are growth stories in the emerging markets. you have to go country by country and company by company. we like thailand tapwater. a great company in thailand. my fund invests in that. there is lot of turmoil in thailand but people still have to drink water. we like posco, the korean steel company. i like the opportunities but don't like china. liz: warren buffett loves posco but sold it and said he sold it early but still made billions. a lively discussion on china. come back again. david: fantastic debate. actually china is really at the heart of what a lot of traders trade on. but of course they also trade on the fed. by the way we're watching after-hours trading, green mountain coffee still halted after-hours. twitter still down about 12, 13%. pandora's down as well but disney is trading up after-hours. the american oil industry is booming, so should the ban on exporting oil produced in the
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u.s. be lifted? it has been 40 years it has been in existence. we have very latest on a heated political business and economic argument that could have huge implications for investors. are r tomorrow? tomorrow. quick look at the weather. nice day, beautiful tomorrow. tomorrows full of promise. we can come back tomorrrow. and we promise to keep it that way. driven to preserve the environment, csmoves a ton of freight nearly 450 miles on one gallon of fuel. what a day. can't wait til tomorrow. life's an adventure and it always has been. but your erectile dysfunction - it could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you can be more confident in your ability to be ready. and the same cialis is the only dai ed tablet
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♪ morning. morning. thanks for meeting so early. oh, it's not a big deal at all. come on in. [ male announcer ] it's how e edward jones makes sense of investing. ♪ >> i'm dennis kneale with fox business. we've been looking at disney earnings the stock is up nicely after-hours. it has bun of the best collection of media assets but how well-managed are the assets? take a look at five main business segments much disney. all five reported higher revenue than a year ago, and yet all five segments end up reporting bigger increases than actual earnings on that revenue growth. that shows tight management and tight cost control. so media, it's a $5 billion a quarter business, up 4% in sales but up 20% in earnings. theme parks, almost a $4 billion a quarter business. up 16% in earnings. studios because of frozen and
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thor, two billion dollar business in the quarter. earnings leverage up 75%. same for consumer products. interactive, up $400 million business in the quarter. revenue up almost 40% and profits up well over doubling this kind ever shows you the leverage disney gets when they manage the assets that anyone would envy but manage them especially well. now back to our anchors. david: boy, if disney had this kind of earninns, if the market was booming, rather than sinking, be up 10% right now. booming energy sector in the u.s. ask folks whether it is time to lift a 40-year-old ban on exporting domestically-produced oil. liz: some say lifting the ban will expand production and create jobs and others argue would be well better off served if the oil stayed right here at home. fox news's dan springer has the story. hi, dan. >> hi, liz and dave. those who are old enough well, like all of us the reason for the ban on exporting crude oil. the year was 1973. who can forget it?
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arab nations were upset with u.s. support for israel. and cut off oil shipments causing chaos of gas prices skyrocketed there were long lines and rationing. but fast forward to today and u.s. production is booming. we've cut back on imports. there is even worry that domestic production will soon outstrip our refining capacity. alaska senator lisa murkowski is leading the charge to lift the export band. she sent a letter to the white house and testified at a congressional hearing. >> this ban threatens record breaking oil production and u.s. american jobs by creating inefficiencies, gluts and other distortions. >> critics are quick to point out production is way up, we still import 40% of the oil we use, so we're a long way from oil independence. they also argue that this is about oil companies making more money because they could get a lot higher price for the oil that they export. as far as the impact to consumers? not surprisingly the two sides
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disagree. supporters of lifting the ban believe more oil on the global market would bring prices down for everyone but others, they don't think so. >> crude oil sold overseas can get about $10 more per barrel than it can in the united states. that will make the oil companies more money but could raise the price of gasoline here while forcing us to depend more on other countries. >> white house now responded to senator murkowski's request. her next move is to test the idea in congress. david, liz, back to you. david: dan springer, thank you very much, dan. good to see you. while we can't talk on the phone while driving, we're not supposed to anyway, the government may soon requires cars, cars, to speak to each other on the road. coming up next we have the very latest on this vehicle to vehicle communications technology
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david: this is exciting. we could really be on the brink of a traffic saffty revolution. could be far-reaching as airbags and seatbelts. government officials are seeking proposals to have all new cars having what is called vehicle to vehicle communication system. liz: yes, cars that talk to each other. fox news's doug mckelway, joins
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us from washington, d.c. with more. doug? >> that's right, liz, david. those who cherish the american tradition of freedom of open road may lament this new development but there is little doubt it increases safety. it is v to have. that allows send gps within proximity. if your car was surrounded by a 360-degree bubble of collision avoidance technology. early studies show v to have. help drivers avoid 70 to 80% of vehicle crashes involving unimpaired drivers. >> when it comes to have. to have. , it is also the. >> does not involve exchanging or recording personal information. the way it works, v to have. , does not track vehicle movements. >> but is that view? one of the engineers said the technology is only one step forward in safety but two steps back in privacy.
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in an age when algorithms can produce tailor-made advertisements on your computer based on surfing habits could the v to. v technology monitor driving habits and who has access to your driving infractions. >> maybe cars want value add-on services. they want to interact with the information. hey, we see you go too fast. you might want this insurance carrier. we see that you drive by the starbucks every day. we have a deal with starbucks. maybe you want this discount? >> alliance of automobile manufacturers, the chief lobbying arm of the auto industry, has thrown its tentative support behind the technology but added, quoting, what remains to be addressed is security and private system the national highway traffic safety administration is currently final liesing a report on v to. v in coming weeks. it will have analysis, privacy security and cost and safety benefits.
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then begins the process of government requiring these devices in future vehicles in a year to be determined. bottom line, this is yet another step i should say, david and liz, towards the day when cars will be driving themselves. bound to happen. david: future is here. doug mckelway, good to see you. liz: thank you, doug. miami is getting a little hotter. former soccer superstar david beckham looking to bring his brand and his sport to the city. details next. david: meanwhile we all kvetch about the winter weather playing plaguing us here. ice storms paralyzing a country literally on the other side ever the atlantic. it is literally frozen solid. we have more coming up for you next. liz: whoa. i ys say be thman with the plan
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but with less ergy, moodiness, ai had to do something. i sawdoctor. a blood test showed it was low testosterone, not age. we talked about axiron the onlynderarlow t treaent that can restore t vels to normal
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in about two weeks in most men. axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. women, especlly those who are or who may become pregnant, and children should avoidt where axirons applied as unexpected signs of puberty in children or changes in body hair or incased acne in women may occur. report these symptoms to your doctor. tell your doctorbout a medical conditions and medications. serious side effects could include increased sk of prostate cancer, worsening prostate symptoms, decreased sperm count, ankle, feet or body swelling, enlarged or painful breasts, problems breathing while sleeping d blood clots in the legs. common side effects include skin redness or irritation where applied, increased red bld cell count, common side effects include skin redness headache, diarrhea, vomiting, and increase in psa. ask your doctor about iron. you really love, what would you do?" ♪ [ woman ] i'd be a writer. [ man ] i'd be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] i'd be an architect. what if i told you someone could pay you
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and what if that person were you? ♪ when you think about it, isn't that what retirement should be, paying ourselves to do what we love? ♪ david: time to go "off the desk." snow and ice have paralyzed slovenia, bringing down trees, cutting power to 50,000 homes. fluctuating temperatures to cause snow to partially met. then it froze again. that was the worst. six inches of ice!ked car how do you get that off? more bad weather on the way. liz: encased in ice. you may remember this ad featuring former soccer superstar david beckham. the ad playing during super bowl sunday, silencing some female households maybe. beckham is making headlines again, saying he will be owner
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of a new miami soccer team slated to play in 2016. david: i guess he is good-looking. by the way green mountain is still halted and twitter still down after-hours. liz: have to watch fox business. meantime watch "money" with melissa francis. melissa: federal workers suing the government over the shut down last october. close to 2,000 of those essential employees seeking damages from uncle sam and you're about to hear from one of them, a corrections officer right now. even when they say it's not, it is always about money. tonighteer starting with suing the federal government. yes, that non-shutdown shutdown was months ago. the but fallout continues for many essential employees who were kept working through the 16-day period. the shutdown

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